Downing Street has said it won’t bow to pressure from senior Labour figures to change course despite last week’s elections drubbing. In more positive news for the prime minister, a free trade deal has been struck with India.
The UK and India have signed an “ambitious and mutually beneficial free trade agreement”, according to Narendra Modi.
India’s PM said it will “deepen our comprehensive strategic partnership, catalyse trade, investment, growth, job creation, and innovation”.
He also looks forward to welcoming Keir Starmer to India.
What does it do for tariffs?
The UK government has said the deal will see tariffs “slashed”.
India will cut tariffs on 90% of UK imports, with 85% of those becoming tariff-free within a decade.
Whisky and gin tariffs will be halved from 150% to 75% before reducing to 40% by year 10 of the deal, while automotive tariffs will go from over 100% to 10% under a quota.
Other goods with reduced tariffs include clothes, cosmetics, aerospace, lamb, some food, and drinks.
The government estimates it will increase bilateral trade by £25.5bn and UK GDP by £4.8bn.
Starmer said it was a “landmark deal”, which “will grow the economy and deliver for British people and business”.
Source: skynews
